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U.S. Poised to Ease Venezuela Sanctions Next Week, Seeks to Unlock $4.9 Billion in IMF Assets

The White House moved to shield oil proceeds from creditors to channel funds toward Venezuela's recovery.

Overview

  • Treasury Secretary Scott Bessent said sanctions could be lifted as soon as next week to enable sales of Venezuelan crude and the return of proceeds to the country.
  • Bessent plans meetings next week with the heads of the IMF and World Bank on re-engagement, and said Treasury is willing to convert Venezuela’s 3.59 billion SDRs—about $4.9 billion—into dollars for reconstruction.
  • President Trump signed an executive order blocking courts and creditors from seizing Venezuelan oil revenue held in U.S. Treasury accounts to preserve the funds for Venezuela.
  • Treasury is examining mechanisms to repatriate revenue from oil stored largely on ships, while banks say current sanctions have impeded a roughly $150 billion debt restructuring.
  • Bessent expects smaller private firms to move first and says Chevron’s commitment will likely grow, with a potential role for the U.S. Export-Import Bank, as the IMF and World Bank explore early steps toward assistance.